sunk cost
/ˌsʌŋk ˈkɒst/
a past cost that cannot be recovered
sunk cost in a sentence
“Rational decisions should ignore sunk costs.”
Origin of sunk cost
From sunk (past participle of sink) + cost
Related Words
opportunity cost
the value of the best alternative forgone
marginal utility
the additional satisfaction from consuming one more unit
diminishing returns
decreasing incremental output as input increases
pareto optimal
a state where no one can be made better off without making another worse off
revealed preference
inferring preferences from observed choices
time preference
the relative valuation of present versus future consumption